World Stocks Rise in Step With US as Asian Markets Lead

The Global Close

On Friday, September 25, international equity markets moved in step with Wall Street. Across the 8 tracked markets, 7 advanced as the whole-world fund finished +0.6%, tracking alongside the US fund at +0.5%. South Korea +2.5% topped the session, followed by Japan +2.2%, while China -0.4% was the sole market to finish lower. The day's standout move belonged to Japan, roughly twice the size of its usual day.

The Trading Clock

These figures show how each international market looked to a US investor at the New York close through US-listed funds. By the time US markets open on Monday, Tokyo and other Asian centers will have already traded a new session. The distinction matters: South Korea's domestic exchanges were closed on Friday for the Chuseok holiday, so the move in South Korea +2.5% reflected New York trading in the US-listed fund rather than activity in Seoul.

What Moved the Leaders

Global equity markets found support as artificial intelligence enthusiasm helped stocks weather bond volatility, while easing crude oil prices helped soften energy supply concerns. In Tokyo, equities received an additional lift as investors bought shares ahead of the mid-term dividend qualification deadline, with banks leading the advance.

China Lags

Chinese assets diverged from the broader market advance. With mainland exchanges closed for public holidays, technology shares slid in thin trading in Hong Kong. Investors showed caution following bilateral talks between the US and China that yielded no major breakthroughs.

What to Watch

Economic calendars feature several scheduled reports for the coming sessions:

• Japan will release minutes from the latest Bank of Japan monetary policy meeting, followed later in the week by official data on industrial production and retail sales.
• China will publish its monthly manufacturing and non-manufacturing purchasing managers indexes, providing a direct read on factory activity and broader economic conditions.